Cross-country evidence on teacher performance pay |
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Authors: | Ludger Woessmann |
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Institution: | a University of Munich and Ifo Institute for Economic Research, Poschingerstr. 5, 81679 Munich, Germany b CESifo and IZA, Germany |
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Abstract: | The general-equilibrium effects of performance-related teacher pay include long-term incentive and teacher-sorting mechanisms that usually elude experimental studies but are captured in cross-country comparisons. Combining country-level performance-pay measures with rich PISA-2003 international achievement micro data, this paper estimates student-level international education production functions. The use of teacher salary adjustments for outstanding performance is significantly associated with math, science, and reading achievement across countries. Scores in countries with performance-related pay are about one quarter standard deviations higher. Results avoid bias from within-country selection and are robust to continental fixed effects and to controlling for non-performance-based forms of teacher salary adjustments. |
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Keywords: | I20 J33 |
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